(Note: this is a multi-part post concerning how to file a proof of claim in the Heller Ehrman LLP Case: 08-32514 bankruptcy in the United States Bankruptcy Court, Northern District of California)
Before you attempt to complete the Proof of Claim form, you need to calculate the amount of money Heller Ehrman owes you. The most vital document you will need is your last earnings statement that you received.
1. Determine Hourly Wage
In the Earnings section of the Earnings Statement, on the left hand side, note the Gross Pay amount and the number of hours.
Divide the Gross Pay by the number of hours to determine the Hourly Wage.
Example: Gross Pay = $2,000 and Number of Hours = 75. The Hourly Wage would be 2000/75 = $26.67 per hour.
2. Determine Accrued Vacation Amount
In the Other Benefits and Information section of the Earnings Statement, note the Vacation Bal amount.
Multiply the Vacation Bal amount by the Hourly Wage.
Example: Vacation Bal = 50 hours and Hourly Wage = $26.67. The Accrued Vacation Amount would be $1,333.50.
3. Determine the WARN Act Amount
Using your Termination Date, calculate the number of Working Days between your Termination Date and November 28, 2008.
Multiply that number of days by the Hourly Wage.
Example: if you were terminated on October 10, 2008, there were 35 working days. Working Days = 35 and Hourly Wage = $26.67 and the standard Heller Ehrman workday was 7.5 hours. The WARN Act Amount would be 35 * ($26.67 * 7.5) = $7,000.
Note: For the New York office the standard workday was 7 hours and for Anchorage the standard workday was 8 hours.
4. Determine WARN Act Period Accrued Vacation
According to the September 26, 2008 Dissolution Email you were to be paid “full salary and benefits until the shutdown.” There is an additional amount of vacation accrual owed to you for the Working Days (the days from your Termination Date until November 28, 2008).
Vacation Accrual Rates (the number of days earned per pay period) were set by Human Resources based on your position and your longevity with the Firm.
At the time of this posting, I am still trying to secure this information for attorney and non-attorney staff.
Here are preliminary vacation accrual rates:
3 years service or less: 3.17 hours per pay period
4 – 9 years service: 4.62 hours per pay period
10 years service or more: 6.06 hours per pay period
5.77 hours per pay period
Take the number of Working Days, divide by 10 (number of Working Days in a Pay Period), multiply by the Vacation Accrual Rate and then multiply by the Hourly Wage.
Example: Working Days = 35, Pay Period = 10, Vacation Accrual Rate = 4.93 and Hourly Wage = $26.67. The WARN Act Accrued Vacation Amountwould be ((35 / 10) * 4.83) * $26.67) = $431.20.
Using the above amount, each employee with the same hourly rate and other numbers would have a total wage claim of $8,764.53.
5. Determine Waiting Time Penalties (California employees only)
Only California employees are entitled to Waiting Time Penalties and as mentioned in the previous post, most former Heller employees, if not all, would be entitled to the maximum amount.
Take the Waiting Time Penalty Period, multiply it by the number of hours in the Standard Workday, and then multiply that amount by the Hourly Wage.
Example: Waiting Time Penalty Period = 30 days, Standard Workday = 7.5 hours and Hourly Wage = $26.67. The Waiting Time Penalties = $6,000.00
Using the above amount, each California employee with the same hourly rate and other numbers would have a total wage claim of $14,764.53.
Please stay tuned for more information as to updates or changes on the calculation method. If you would like to download an Excel spreadsheet formatted with the necessary calculations (you only need to add salary and other information specific to you), then download it here.